Last week, representatives from major São Paulo football clubs, including Corinthians, Palmeiras, São Paulo, Santos, and Juventus, convened at the São Paulo Football Federation to discuss the implications of proposed regulations that could ban betting advertisements in the city.
One such proposal, potentially scheduled for a vote by the city council next week, aims to significantly affect the financial landscape for the clubs. During this meeting, over 40 legal, communications, and marketing professionals from the clubs met alongside executives from the betting industry, all of whom raised concerns about the potential loss of valuable sponsorship agreements with betting companies.
A key focus of the discussions was Bill 560/2025, which is under consideration by the council. This bill seeks to prohibit advertising from betting firms at various events, whether organized by public or private entities and regardless of their profit status.
The bill would not only ban promotions through signs, banners, or display panels at sports venues like arenas and stadiums but also extend to public transport ads, affecting sides, exteriors, and rear windows of buses. Violating this proposal could result in fines of BRL50,000 (roughly $10,000) and a prohibition on event hosting for up to two years. While the current text of the bill does not explicitly outlaw betting brand displays on team jerseys, some city councillors are pushing to amend the bill to include such prohibitions.
This legislation poses a significant threat to the financial wellbeing of the clubs, especially since Corinthians, Palmeiras, and São Paulo generate an estimated BRL350 million in annual revenue from their respective contracts with betting firms, such as Esportes da Sorte, Sportingbet, and Superbet. The potential consequences of the bill may force these clubs to relocate matches outside the city to uphold their advertising agreements.
As stakeholders assess their strategic response, discussions regarding educational campaigns and joint actions are underway, along with efforts to collaborate with political leaders in São Paulo.
Reinaldo Carneiro Bastos, president of the São Paulo Football Federation, voiced his worries, stating, "If the city’s clubs lose this revenue, it will create a disparity that extends to the pitch." He emphasized that betting company advertising is crucial for income, and clubs from other regions would continue to benefit from such sponsorships, placing clubs like Corinthians, Palmeiras, and São Paulo at a significant competitive disadvantage.
